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News In Brief Business and Economy

Google announces $10 billion investment in data centres and AI infrastructure in India

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Google announces $10 billion investment in data centres and AI infrastructure in India
14 Oct 2025
5 min read

News Synopsis

Alphabet Inc.’s Google has unveiled plans for a massive $10 billion investment in India to establish a state-of-the-art data centre and AI hub in Andhra Pradesh. This marks Google’s largest-ever investment in the country, reinforcing India’s growing role in the global artificial intelligence and cloud computing ecosystem.

Google’s $10 Billion Commitment to India’s Digital Future

In a major boost to India’s digital infrastructure, Google will invest $10 billion to set up a large-scale data centre campus in the port city of Visakhapatnam, Andhra Pradesh. The announcement, confirmed by state officials, reflects Google’s long-term commitment to supporting India’s growing demand for AI-driven technologies, data storage, and cloud services.

This move is part of Google’s broader India Digitization Fund, through which the company has been steadily expanding its cloud, AI, and digital services footprint across the country.

A Landmark AI and Data Infrastructure Project

The upcoming 1-gigawatt data centre campus will serve as one of Google’s largest technology hubs in Asia. The facility will integrate advanced AI infrastructure, renewable energy systems, and an expanded fibre-optic network to support India’s fast-growing digital economy.

This large-scale project aims to power not only Google’s cloud and AI services but also assist Indian enterprises, startups, and developers in leveraging next-generation technologies. The inclusion of renewable energy sources aligns with Google’s global sustainability goals, ensuring that the new campus operates with minimal environmental impact.

Visakhapatnam: Emerging as a Tech Powerhouse

The selection of Visakhapatnam as the location for the new AI hub is a strategic move. Known for its growing industrial base and expanding tech ecosystem, the port city offers a strong foundation for infrastructure development.

Andhra Pradesh’s government has been actively encouraging technology investments in the region, and Google’s entry is expected to transform the local economy. The project will generate thousands of direct and indirect jobs, attract ancillary industries, and create opportunities for local talent in IT, AI, and engineering.

Formal Agreement to Be Signed Soon

According to officials, a formal agreement between Google and the Andhra Pradesh government is expected to be signed on Tuesday, finalizing the terms of investment and collaboration. This deal underscores a major milestone in India’s ongoing push to become a global data and AI powerhouse.

Once operational, the Visakhapatnam campus will likely serve as a regional hub for Google’s cloud and AI operations, catering to South Asian markets and beyond.

Rising Competition Among Big Tech Companies

Google’s investment comes amid intensifying competition among global tech giants such as Amazon, Microsoft, and Meta, all of whom are rapidly expanding their data centre infrastructure to support the growing demand for AI-powered services.

As AI adoption accelerates across industries—from healthcare and education to fintech and manufacturing—tech firms are racing to establish data hubs capable of handling large-scale machine learning models and AI workloads.

By building its own integrated AI hub, Google aims to strengthen its position in the AI and cloud computing market, especially in a country like India, where data consumption and digital transformation are growing at record pace.

Andhra Pradesh Government Welcomes the Move

The investment has been hailed by Andhra Pradesh’s IT Minister, Nara Lokesh, who emphasized its strategic importance. “In an era where data is the new oil, such initiatives will serve as a strategic advantage,” Lokesh said, highlighting how the partnership will bolster both economic growth and technological innovation in the region.

This project not only positions Andhra Pradesh as a tech-forward state but also enhances India’s standing as a global destination for digital infrastructure investments.

Conclusion

Google’s $10 billion investment in Andhra Pradesh marks a defining moment for India’s AI and cloud ecosystem. The massive Visakhapatnam data centre and AI hub will accelerate digital innovation, generate employment, and help India play a leading role in shaping the future of artificial intelligence and sustainable technology.

TWN Special